[1] The show follows the lives of the teachers and the pupils at the eponymous school of Waterloo Road, a failing inner-city comprehensive, tackling a wide range of issues often seen as taboo such as murder, binge drinking, child sexual abuse, suicide pacts, schizophrenia, bankruptcy, chemical burns, workplace bullying, hemangioma, bribery, clinical depression, prescription drug abuse and false accusations of rape.

It's all change at Waterloo Road as it has merged with local private school John Fosters, which was forced to close when wealthy parents could no longer afford the fees.

The rivalry between the 2 schools triggers several fights and culminates in a mass brawl, which leaves Helen Hopewell unable to cope with the psychological pressure.

The playground divisions are echoed in the staffroom as many of the old John Fosters team have been ushered in to ensure the smooth transition, much to the annoyance of the existing staff.

Max and Rachel are determined to show that the merger with John Fosters is a success and set out to wow the parents and governors with a united school.

Ruby Fry, meanwhile, has taken it upon herself to upgrade the school's buffet menu and puts caviar and other pricey sundries on her husband, John's, company credit card.

When Ruby sneaks home to pick up some forgotten ingredients, however, she is confronted with bailiffs and John is forced to admit that his company is bankrupt.

New deputy head Christopher Mead becomes the focus of unwelcome romantic attention when his Year 10 fan club become increasingly brazen.

When he discovers that Vicki has been sneaking off during school hours to work as an exotic dancer, he visits the club to talk her out of it, inadvertently putting himself in a vulnerable position.

Sick of fighting a turf war with Max, a defeated Rachel hands in her resignation, believing her departure will at least provide some stability at Waterloo Road.

Kim believes the scheme should be open to everyone, but Chris thinks it's cruel to build up pupils' hopes of getting into a top university if their grades aren't strong enough.